A Theoretical Analysis of Biodiversity Conservation and Competitiveness

摘要: This paper studies the relationship between biodiversity conservation in Northern boreal forests and its implications to international competitiveness of forest industry an imperfectly competitive roundwood goods markets. We start from notion that conserving biodiversity, like preserving key biotopes all publicly privately managed forests, leads a decrease harvesting possibilities, model behavior domestic economy as two-stage game. In first stage owners' association bargain about timber price. second unilaterally determines use production factors thereby output Cournot rivalry with foreign industry. A binding requirement will increase reservation price for so goes up. turn weakens (an increase) market share (foreign) Also preliminary welfare analysis is carried out by assuming government maximizes sum producer consumer surplus adjusted valuation biodiversity.